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AXTI Nasdaq· AXT Inc
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AXTI Nasdaq· AXT Inc
Earnings report Q3 2023

AXT, Inc. Reports Declining Revenue in Latest Quarter

Segments of revenue

AXT, Inc. reported total revenue of $17.37 million for the latest quarter, representing a significant decrease from the $35.18 million reported in the same quarter last year. The company's revenue for the nine months ended September 30, 2023, amounted to $55.37 million, compared to $114.32 million in the prior year period.

Strengths

Despite the decline in revenue, AXT, Inc. has demonstrated resilience in its gross profit, which stood at $1.87 million for the latest quarter. This indicates that the company has been able to maintain a reasonable level of profitability despite the challenging market conditions. Management comments were not provided in the report to further explain the decrease in revenue.

Challenges

A significant weakness for AXT, Inc. is the substantial decrease in revenue compared to the same quarter last year. The company's revenue has been impacted by a decline in demand for its products, resulting in a loss of $6.42 million for the latest quarter. This loss is in stark contrast to the $6.73 million net income reported in the same quarter of the previous year.

Noteworthy

It is worth noting that AXT, Inc. experienced a decline in comprehensive income, which includes net income and other comprehensive loss. The comprehensive loss attributable to the company for the latest quarter was $6.23 million, compared to a loss of $0.33 million in the same quarter last year. This decline in comprehensive income further highlights the challenges faced by the company in the current market environment.

Summary

AXT, Inc. faced significant challenges in the latest quarter, with a substantial decline in revenue and a net loss of $6.42 million. The company's gross profit remained relatively stable, indicating some resilience in maintaining profitability. However, the overall financial performance reflects the impact of decreased demand for AXT, Inc.'s products. The company will need to address these challenges and explore strategies to stimulate revenue growth in order to improve its financial position.

Source documents

Form 10-Q  filed on Nov 09, 2023
83 pages scanned

Reference data

Company financials Q3 revenue 20.4M
Analyst estimates Q3 EPS missed by -46.97%
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